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How to start a chamber of commerce: a step-by-step guide

To start a chamber of commerce, confirm the community wants one, recruit a founding group of local business leaders, incorporate as a nonprofit (chambers are usually 501(c)(6) organizations), write bylaws, set dues and benefits, and launch with an event. Then deliver quickly: a public member directory, regular networking events and visibility for members. A new chamber earns its renewals in the first year.

What a chamber of commerce does

A chamber is a membership organization of local businesses that promotes its members, connects them with each other and speaks up for the local business community. Most chambers offer:

  • A public directory of member businesses.
  • Networking events and mixers.
  • Ribbon cuttings and member promotion.
  • A voice with local government.
  • Community events.

Step 1: Confirm the need

Talk to business owners. Is there no chamber, or one that doesn’t serve your area or type of business? Find out what owners would actually pay for: customers, connections, advocacy or events.

Step 2: Build a founding group

Recruit five to ten respected local business owners who’ll serve as the founding board and recruit the first members. A mix of business types and sizes helps.

Step 3: Form the organization

  • Choose a name and check it isn’t taken in your state.
  • Incorporate as a nonprofit corporation in your state.
  • Get an EIN from the IRS.
  • Apply for tax-exempt status. Chambers are usually 501(c)(6) business leagues rather than 501(c)(3) charities, which affects whether dues are tax-deductible as charitable gifts (generally they aren’t, though they may be deductible as a business expense).
  • Write bylaws: membership, the board, officers, meetings and elections.
  • Open a bank account and set up simple bookkeeping.

Talk to an attorney and an accountant here. Getting the structure right at the start is far easier than fixing it later.

Step 4: Set dues and benefits

Decide what members get and what they pay. Many chambers price by business size. Keep it simple at first, and make the first year’s value obvious. Our guide to setting membership dues walks through the options.

Step 5: Launch

  • Hold a launch event and invite every business in town.
  • Offer founding-member pricing with a deadline.
  • Hold ribbon cuttings for early members. See our ribbon cutting ideas.

Step 6: Deliver in year one

  • A public, searchable member directory.
  • A monthly mixer or networking event.
  • A monthly newsletter.
  • Member spotlights on social media.

Our chamber of commerce marketing plan has a 12-month calendar you can copy.

Frequently asked questions

How do you start a chamber of commerce?

Confirm local demand, recruit a founding board, incorporate as a nonprofit, apply for tax-exempt status (usually 501(c)(6)), write bylaws, set dues and benefits, then launch with an event and deliver value in the first year.

Is a chamber of commerce a nonprofit?

Usually yes. Most chambers are nonprofit 501(c)(6) business leagues rather than 501(c)(3) charities.

How many members does a chamber of commerce need to start?

There’s no set number. Many small-town chambers start with a few dozen businesses and grow from there.

How do chambers of commerce make money?

Mostly from membership dues, plus events, sponsorships and programs like featured directory listings.

A website built for chambers

Purple Pushpin gives new and established chambers a public business directory with a map, events, online joining and dues, and email, on one website at one flat price.